Sen. Elizabeth Warren (D-Mass.) sent Elon Musk a letter Tuesday demanding answers about X Money by April 21, citing concerns that the upcoming payments platform could pose risks to consumers, national security, and financial stability.
The 13-Question Demand
Warren, the top Democrat on the Senate Committee, is pressing Musk on whether X Money will issue a stablecoin, partner with Cross River Bank, offer 6% APY on deposits, and surveil consumer transaction data.
The letter comes as Musk prepares to launch X Money in early public access this month.
Former X CEO Linda Yaccarino said the platform will allow users to fund their X Wallet using Visa’s Direct service, connect to debit cards for peer-to-peer transactions, and transfer funds to bank accounts.
The Cross River Concern
Screenshots posted by William Shatner, who recently gained early access to X Money, mention that deposits are held by Cross River Bank.
Warren notes the institution faced a serious FDIC enforcement action in 2023 …